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Brinker price target raised to $40 from $38 at RBC Capital

RBC Capital analyst Christopher Carril raised the firm’s price target on Brinker to $40 from $38 and keeps a Sector Perform rating on the shares. The company’s Q1 earnings beat was driven by better-than-anticipated restaurant margins, marked by traffic improving to positive in October, the analyst tells investors in a research note. Some of the tailwinds that include food basket deflation and improving turnover will diminish in the coming quarters however, the firm added.

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